1989 Jeep Cherokee Laredo with np242 4-speed auto.

The transmission is pretty solid overall and makes silky smooth shifts. Reverse is a bit strange though. I'm not sure if this is a common issue, and if it might even be the gear shifter. But sometimes when backing up in reverse, it sometimes just slips out and sometimes catches its self as well.
Youll be going backward with power, then the tranny goes to neutral on its own and sometimes it will catch itself and be back in R. Sometimes I have to slightly move the gear shifter front and back for reverse to catch.

The gear works every time, just complains every time as well.

 

Sounds like a simple adjustment.

 

That's what it sounds like to me. Make sure the cable between the shifter and the transmission is adjusted up properly.

 

possible motor monunt or tranny mount broken causing the cable to be pulled to transmission linkage check cable connection in console and under xj .